Virginia Bankruptcy Laws
Which Virginia bankruptcy laws apply to you?
Virginia bankruptcy laws were written with your needs in mind. To best help people struggling with debt, Virginia provides two bankruptcy options.
These options, Chapter 7 and Chapter 13 bankruptcy, can allow you to get help specially designed to address your debt-relief needs.
To learn more about how these chapters operate, continue reading. If you’re ready to take advantage of the help offered, complete the free case evaluation form on this page and we’ll connect you with a local Virginia bankruptcy lawyer.
Chapter 13 and Chapter 7: What’s the Difference?
Chapter 7 and Chapter 13 bankruptcy address two common situations of bankruptcy filers.
Virginia’s Chapter 7 bankruptcy may be able to offer life-altering help to those with little to no income, but lots of credit card debt.
Credit card debt, as well as medical debt, personal loans and payday loans, is considered unsecured debt. This type of debt may be discharged and retired entirely by filing bankruptcy.
People can also protect some or all of their property by taking advantage of the state’s exemptions. Any property covered under Virginia exemptions will be protected from a liquidation sale. In most Chapter 7 cases there is no property sale.
Homestead
- A homestead worth up to $5,000 plus an additional $500 for each dependent.
Wages
- 75 percent of your weekly earnings.
Automobiles
- One motor vehicle worth up to $2,000.
Personal Property
- Family Bible.
- Wedding and engagement rings.
- Up to $5,000 worth of family portraits and heirlooms.
- Up to $5,000 worth of a burial plot and a pre-need funeral contract.
- Up to $1,000 worth of clothing.
- Up to $5,000 worth of household furnishings.
- All household pets.
- 100 percent of medically prescribed healthy aids.
- Up to $10,000 worth of trade tools.
- Additional agricultural items worth up to $3,000.
For those who own a home or other valuable property, then Chapter 13 bankruptcy may be a better fit. They’ll also need some form of regular income.
In Virginia, Chapter 13 bankruptcy is commonly used by people who went into deep debt during a temporary setback, such as a job loss or injury. Now, they may have regained work, but are stuck with monthly fees and interests that are unmanageable.
Bankruptcy can help you get these debts under control by combing, consolidating and sometimes reducing these debts. Creditors will stop calling, and you’ll make one monthly payment, instead of several, to a court-appointed trustee. This trustee will handle all of your debts in order.
Speak with a Virginia Bankruptcy Lawyer Today
Take advantage of help that is able to specifically addresses your financial needs. Use all of the bankruptcy tools available, and maximize their ability to help you.
A Virginia bankruptcy lawyer can help you navigate the state’s laws. Get answers to your questions, and know exactly how the bankruptcy laws can impact your debt.
You can connect with a local Virginia bankruptcy lawyer right now. Call us, toll free, at 877-349-1309 or complete the free case evaluation form on this page and we’ll put you in touch with a Virginia bankruptcy attorney near you.
Note: Keep in mind all laws are complex. If you need more information about filing bankruptcy or want to fully understand how these laws affect you, please speak with a local attorney.
Laws may have changed since our last update. For the latest information on your state's bankruptcy> laws, speak to a local bankruptcy lawyer.
